Vale (NYSE:VALE) Sets New 1-Year Low – What’s Next?

Vale S.A. (NYSE:VALE)’s share price hit a new 52-week low during mid-day trading on Wednesday. The stock traded as low as $11.42 and last traded at $11.4550, with a volume of 20,224,623 shares traded. The stock had previously closed at $11.84.

Wall Street Analyst Weigh In

VALE has been the subject of several research reports. Zacks Research cut shares of Vale from a “hold” rating to a “strong sell” rating in a research note on Monday, October 19th. Scotiabank raised Vale from a “sector perform” rating to a “sector outperform” rating and set a $16.00 target price for the company in a research report on Monday, October 19th. JPMorgan Chase & Co. boosted their price target on Vale from $21.00 to $22.00 and gave the stock an “overweight” rating in a research report on Wednesday, September 30th. UBS Group dropped their price objective on shares of Vale from $15.00 to $14.50 and set a “neutral” rating on the stock in a research note on Wednesday, October 21st. Finally, Wall Street Zen downgraded shares of Vale from a “buy” rating to a “hold” rating in a research note on Saturday, July 18th. Three analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has an average rating of “Hold” and a consensus target price of $15.71.

Vale Stock Performance

The company has a debt-to-equity ratio of 0.45, a quick ratio of 0.77 and a current ratio of 1.19. The stock’s fifty day moving average is $13.93 and its two-hundred day moving average is $15.26. The firm has a market cap of $52.02 billion, a price-to-earnings ratio of 23.37 and a beta of 0.42.

Vale (NYSE:VALE) last announced its quarterly earnings data on Thursday, October 29th. The basic materials company reported $0.29 earnings per share for the quarter, missing the consensus estimate of $0.38 by ($0.09). The firm had revenue of $10.60 billion during the quarter, compared to analyst estimates of $10.45 billion. Vale had a net margin of 5.11% and a return on equity of 19.87%. On average, analysts expect that Vale S.A. will post 1.65 earnings per share for the current fiscal year.

Institutional Trading of Vale

A number of institutional investors have recently added to or reduced their stakes in the business. Nykredit A S acquired a new stake in Vale during the second quarter valued at approximately $3,162,000. Corient Private Wealth LP bought a new position in shares of Vale during the second quarter valued at $1,119,000. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its position in shares of Vale by 445.8% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 115,656 shares of the basic materials company’s stock worth $1,739,000 after purchasing an additional 94,466 shares in the last quarter. Amundi boosted its position in Vale by 27.4% in the second quarter. Amundi now owns 2,243,230 shares of the basic materials company’s stock valued at $33,738,000 after buying an additional 482,313 shares in the last quarter. Finally, Bank of Nova Scotia grew its position in Vale by 116.2% during the 2nd quarter. Bank of Nova Scotia now owns 231,527 shares of the basic materials company’s stock worth $3,482,000 after acquiring an additional 124,460 shares during the last quarter. 21.85% of the stock is currently owned by institutional investors and hedge funds.

Vale Company Profile

Vale SA is a Brazil-based global mining and logistics company best known for producing iron ore and iron ore pellets, key raw materials used in steelmaking. The company also produces nickel, copper, manganese ore, coal and other mineral products, with operations spanning exploration, extraction, processing and transportation.

Vale operates an extensive logistics network that includes railways, ports and maritime transportation systems, primarily supporting the movement of minerals from its production sites to domestic and international customers.